These days it seems a lot of investors are focused on the developing nations including the BRIC economies - that’s Brazil, Russia, India and China. So called BRIC ETF's are becoming more and more popular investments because they’ve seen eye-popping returns of late. What does the fast money crowd know that you don't? CNBC asked Tim Strazzini of our own "Fast Money" show--who is also Managing Director at Pali Capital. "Fast Money" host, Dylan Ratigan also joined in.
In case you’re wondering--the term BRIC was coined by Goldman-Sachs in 2003 – in a report which suggested Brazil, Russia, India and China (BRIC) could, one day, rival the economies of Japan and the United States. By 2050 these countries are forecast to encompass over 40% of the world's population and hold a combined GDP of $14.951 trillion dollars
Nowadays BRIC’s have become a more generic term to refer to emerging markets. BRIC ETF’s (electronically traded funds) are becoming popular alternatives to traditional mutual funds. “They’re really, in my mind, more transparent, more liquid, and a fairer priced replacement,” explained Tim Strazzini. “I don’t think they will completely replace the mutual fund business, but that’s where they’re stealing business from.”